Daimler profit falls due to dieselgate and investment in electric cars

Daimler profit falls due to dieselgate and investment in electric cars

January 22, 2020 0 By autotimesnews

The German concern is summing up the results of 2019.

According to Reuters, Daimler expects a profit decline in 2019 to 5.6 billion euros (-49.6%). Representatives of the brand note that this is due to investment in the development and production of electric vehicles, as well as with the diesel scandal.

It is also specified that the profitability of Mercedes-Benz sales is likely to fall to 4% in 2019. Litigation costs in the course of litigation against a dieselgate amount to approximately 1.1-1.5 billion euros.

Recall that in September the concern was fined € 870 million for the sale of cars with engines that exceed the regulated level of emissions of harmful substances. However, the company said that this payment would not significantly affect revenue.